Feature

Don't Fear a Summer Swoon

SPECIAL REPORT: WHAT'S NEXT FOR THE MARKETS After a five-week decline, the U.S. stock market has reclaimed some of its lost ground. With the S&P 500 up 12.6% on the year—and bonds, gold, copper and emerging markets all down in double digits—the allure of equities will likely grow.

For months, investors have yearned for a correction so they can catch up to the stock market's runaway rally. Yet when stocks, bonds, and commodities began selling off recently, investors suddenly were not so sure: Interest rates spiked too sharply; emerging markets are reeling; and worst of all, the Federal Reserve is threatening to wean us from its monetary largess.